{Louisville, Kentucky}...Wednesday, the U.S. 6th Circuit Court of Appeals dismissed a lawsuit by Kentucky-based Republic Bank after it lost at least $14 million by investing in mortgage-backed securities sold by Bear Stearns. The Court found Republic Bank officials did not read the documents describing the securities and how the company functioned before investing $32 million in October 2006. Republic Bank bought about $52 million worth of the securities, which were backed by home loans, from Bear Stearns over a three-year period. Republic Bank sued Bear Stearns in 2009 in U.S. District Court in Louisville, claiming an official from the investment bank lied about the profitability of the securities.
